Inheritance has always been the hot topic among the public due to its varied legal provisions based on the subjects, as well human desire to dominate the assets and other rights being left due to the demise of decedent. Following such notion, let us provide you with the inheritance 101 to ensure that your rights upon the succession of assets are being guaranteed by law

1. Legal Brief
Succession and Management of Asset

2. General Provisions Related to Inheritance
A H R P L e g a l B r i e f
Ownership rights to an object cannot be obtained in any other way, but by appropriation,
attachment, time expiration, inheritance either by virtue of prevailing laws or last will and
testament, and by assignment or delivery pursuant to a transfer of legal title, originating from the
individual who was entitled to dispose of the property.
Article 584 Indonesian Civil Code
The transfer of ownership rights of inheritance (tirkah) of the heirs, by determining who has the right to be an heir and their respective
shares. Islamic law can be bound to whom by the time of his/her demise was a Muslim upon the decision of Islamic Court and Muslim
eligible heirs.
.
Succession based on Compilation of Indonesian Islamic Law
Succession based on Indonesian Civil Code
Succession based on Adat Laws
Legal Basis of Inheritance in Indonesia
Article 171 (a), (b), and (c) The Compilation of Indonesian Islamic Laws
Genealogical fellowship based on descent and territorial alliances based on population, namely territorial legal associations.

3. Element of Inheritance
A H R P L e g a l B r i e f
Elements of Inheritance
Decedent
A decedent is a person who dies
leaving property to another person.
Heir
The heir is the person who is legally
eligible to take over someone’s rights
and obligations, including inheritance
assets, either in whole or in part, upon
the demise of the decedent.
Inheritance
Rights and obligations, including
assets, which are being succeeded
upon the demise of the decedent.
Ab-insentato
Heirs who inherit based on the
provisions of the law (ab-intestato) –
people who are automatically eligible
by virtue of law – namely the members
the lawful and blood relatives and the
surviving spouse.
Article 832 Indonesia Civil Code
Testament
Last will and testament from the
testator. So maybe in this case that
person does not have any blood
relationship/family ties with the
decedent.
Article 899 Indonesia Civil Code
Inheritance Method

4. The executors of a last will shall seal the inheritance,
in the event that the heirs are minors under
guardianship, who, at the death of the decedent have
not been provided with guardians or conservators, or
in the event that such heirs are not represented or are
not present in person.
The executor shall prepare an estate description of the
properties in the inheritance, in the presence of the
heirs following the proper summons of those who
reside within Indonesia.
A H R P L e g a l B r i e f
A decedent may appoint one or more executors
of his will, either in a will, in a private deed, or
also in a special notarial deed. He can also
appoint several people, so that when one is
absent, the others can replace him.
Article 1005 Indonesia Civil Code
Appointment of Executor
The executor of last will and testament by
the heir can be given control over all or part
of the inheritance.
Control of Inheritance by the Executor Registration of Inheritance
Article 1007 Indonesia Civil Code
The executor of the will who controls the inheritance
has the right to collect receivables which at the time of
control can be collected
Article 1013 Indonesia Civil Code
The Heir is not yet an Adult
Collection of Receivables by the Executor
If a dispute occurs, the executor of the last will
and testament can submit the matter to the
competent district court to maintain the validity
of the will.
Defence a Will
Article 1011 Indonesia Civil Code
The Executor
Article 1010 Indonesia Civil Code
Article 1009 Indonesia Civil Code

5. Roles of Property and Heritage Agency in Indonesia
A H R P L e g a l B r i e f
Property and Heritage Agency
Property and Inheritance Agency (Balai Harta Peninggalan) (“BHP”) is a technical executory unit of
Regional Department Office of Law and Human Rights – under the Law and Human Rights Services
Division – in which its responsibility directed to the General Director of General Law Administration
and has function to represent and manage the interest of others based on law or
decision/stipulation of the court which cannot be conducted by his/her own interests based
on the prevailing law.
Article 1 Minister of Law and Human Rights Reg. No. M.02-HT.05.10 of 2005
as amended by Minister of Law and Human Rights Reg. No. 27 of 2013
Related functions of BHP in Estate Management
In the event that an inheritance becomes available, and no
one claims it, or if the known heirs reject it, the inheritance
shall be regarded as ungoverned. In the event of a dispute
regarding whether the inheritance is ungoverned, the court is,
at the request of the interested parties or upon the
recommendation of the prosecution counsel, decide thereupon
in the absence of a lawsuit, after having consulted BHP.
BHP shall prepare an estate description, following the sealing,
if it is deemed necessary, and to govern the estate and
administer it. They shall be obligated to locate the heirs by
summoning them in public newspapers or by other
appropriate means.
Registration of registered last will and testament, opening and
announcement of confidential/private last will and testament. BHP
shall make minutes of the submission and the opening of such last will
and testament – which include details of conditions therein – and shall
return such documents to the notary who has filed such documents.
Issuing Statement of Inheritance Rights (Surat Keterangan Hak Waris)
Article 3 (b) Minister of Law and Human Rights Reg. No. 7 of 2021
jo. Article 942 Indonesian Civil Code
Managing Ungoverned Estates
1
Article 1126 -1128 Indonesian Civil Code jo.
3 (a) Minister of Law and Human Rights Reg. No. 7 of 2021
Managing Last Will and Testament
2
Article 3 (c) Minister of Law and Human Rights Reg. No. 7 of 2021
3 Issuing SKHW
In the event that no heir appears, within a period of three years following the date on which the inheritance became available,
the final account shall be presented to the State, which shall be authorized to initially take possession of the inherited properties.
! Article 1129 Indonesian Civil Code

6. Considerations on Succession of Assets
A H R P L e g a l B r i e f
Land as Inheritance for Foreigner
Non-Muslim as Eligible Heir for Muslim Decedent
The prevailing jurisprudence in Indonesia has demonstrated that the wajibah testament pursuant to
Article 209 Indonesian Compilation of Islamic Law does not only applicable for step-parents and/or
step-children, who are not considered as the eligible heirs, but also extends to those who should be
considered as heirs but hindered to be considered such due to their non-Muslim status.
Decision of Supreme Court No.368 K/Ag/1999 jo. Decision No. 16 K/Ag/2010 jo.
Decision No. 721 K/Ag/ 2015 jo. Decision No. 0042/Pdt.G/2014/PA.Yk jo. Decision No. 1/Yur/Ag/2018
Equal Portion of Inheritance between Men and Women
The prevailing jurisprudence in Indonesia moves beyond the patriarchy practices in
Indonesia’s customary law by ensuring the equal rights of inheritance can be given for
both men and women by virtue of human rights law and principle of justice.
Decision of Supreme Court No. 4766 K/Pdt/1998 jo. Decision No. 1048K/Pdt/2012 jo.
Decision No. 147 K/Pdt/2017jo. Decision No. 573 K/Pdt/2017 jo. Decision No. 3/Yur/Ag/2018
Foreign citizens who after the enforcement of Law No. 5 of 1960 on Basic Agrarian Principles acquire a
right of ownership due to inheritance without a will or mixing of assets due to marriage, as well as
Indonesian citizens who have ownership rights and after the enforcement of this Law lose their citizenship
must relinquish said rights within a period of one year after the acquisition of said right or the loss of said
citizenship. If, after the abovementioned period, the right of ownership is relinquished, then said right shall
be abolished by law and the land falls to the State, provided that the rights of other parties which
encumber it shall continue.
Article 21 (3) Law No. 5/1960

7. Challenges on Succession of Assets
A H R P L e g a l B r i e f
Legality of Last Will and Testament
A last will or testament is a deed, containing a statement of an individual's wishes
and intents to take effect following his death, in which such deed can be revoked.
The last will or testament may comprise of the following forms:
a. Holographic last will and testament – made and signed by the testator himself and
being kept by the public notary;
b. general last will and testament with deed – made before the Public Notary and 2
(two) witnesses; and
c. confidential/private last will and testament – made by the testator or other party
appointed by him and shall be signed upon each stipulation therein, and in the
event that if a cover is used, it shall be closed and sealed.
Article 875, 932, 938, and 940 Indonesian Civil Code
What about Last Will and Testament in Islamic Law ?
Indonesian Compilation of Islamic Law recognizes the existence of last will and testament,
which can be made either in writing or verbal, before 2 (two) witnesses or public notary.
The last will and testament composed shall assertively and clearly specify on who or
which institution appointed by the testator to receive the inherited assets.
Article 195 and 196 Compilation of Indonesia Islamic Law

8. Navigating the Legal Minefield of Asset Succession (1/2)
In practice, it is often the case that when a decedent passes away, there are heirs who 'believe'
themselves to be entitled to manage the entire estate, such as the eldest heir or an heir who resided
with the decedent previously.
According to Jurisprudence No: 1187K/Pdt/1992, such intention to take over/manage the estates are
not valid unless the decedent's will is discovered. It is essential to emphasize that if inherited assets
are transacted without the consent of all heirs, the heir's actions constitute unlawful conduct.
The Rightful Heirs in Handling Inherited Assets
Source: Decision of the Supreme Court No. 1187K/Pdt/1992
Ownership of Inherited Assets Held by Third Parties
In practice, it is common for inherited assets to be in the possession of a third party (not the eligible
heir), who is unwilling to relinquish the assets to the rightful heirs. In such cases, the entitled heir can
file a lawsuit without the involvement of other heirs, based on:
(i) the defendant not being prejudiced in their defense; and
(ii) one of the heirs as a plaintiff is legally sufficient to represent other heirs.
Decision of the Supreme Court No. 244K/Sip/1959 Jo. Decision No. 2/Yur/Pdt/2018
A H R P L e g a l B r i e f
In principle, if a testament has been validly made, the heirs are prohibited from interpreting it
differently. However, if a testament is unclear, which means the testament doesn't specify the
subject and object of inheritance, the testament is considered null and void.
Prohibition on Misinterpretation of Inherited Assets
Source: Decision of the Supreme Court No. 311 K/PDT/1996

9. Navigating the Legal Minefield of Asset Succession (2/2)
A spouse without offspring is prohibited from donating (hibah) (or, in this case, it could be in the
form of making a deed of donation) entirely to the third party. The consideration of the Supreme
Court is that Joint Property (Harta Bersama) is the right of the other spouses. Without the
presence of their offspring, there will be no reserved portion (legitime portie) except for the
surviving spouse. Hence, the surviving spouse shall have the rights over the inheritance and the
donation cannot be done in a way that hampers the surviving spouse’s rights.
Prohibition on One Spouse Donating All Assets
Source: Decision of the Supreme Court No. 2002.K/Pdt/1986
Ensuring Fair Inheritance Distribution by Legitime Portie
Considering that the decedent has the right to make a testament as long as it complies with
the provisions of the prevailing regulations. However, the last will and testament must
adhere to the provisions regarding the reserved portion (legitime portie) for the heirs. Heirs
entitled to the reserved portion (legitime portie) are referred to as legitimaris. The will must
not contravene the reserved portion of the legitimaris.
The reserved portion or inheritance share as defined by the law is the portion and assets
that must be allocated to the heirs in a direct line under the law, against which the
deceased individual cannot make any disposition, whether as a gift among the living or in a
will (Article 913 of the Civil Code).
In the event that the last will and testament contravenes the provisions of the reserved
portion, the will may be challenged by aggrieved parties.
Decision of the Supreme Court No. 3243K/Sip/1999.
A H R P L e g a l B r i e f

10. We will continue to follow the developments on this topic and provide additional information as it
becomes available. If you have any questions on this topic, please contact:
Indira Jauhara Pratiwi
indira@ahrplaw.com
Putra Pengayoman
putra@ahrplaw.com
Tariq Hidayat Pangestu
tariq@ahrplaw.com
This publication has been prepared by AHRP for educational and informational purposes only. The information contained in this publication is not
intended and should not be construed as legal advice. Due to the rapidly changing nature of law, AHRP makes no warranty or guarantee concerning
the accuracy or completeness of this content. You should consult with an attorney to review the current status of the law and how it applies to your
circumstances before deciding to take any action.
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